Mayor Stephen Mandel isn't surprised Oilers owner Daryl Katz is a no show for Wednesday's council meeting to discuss the proposed $475-million arena deal.

But he's disappointed in Katz' decision because he says it's a waste of an opportunity for a meaningful discussion.

"It's hard to have negotiations without having a conversation," said Mandel Wednesday morning.

After weeks of silence, Katz' official response to the mayor's invitation to council came in the form of a letter released Tuesday afternoon.

In the missive, addressed to the mayor, Katz said he would not be accepting the invitation for The Katz Group to talk publicly at the meeting.

"Respectfully, we will not appear at tomorrow's meeting of city council," he penned in the two page letter. "Before we can sign a 35-year location agreement and invest more than a quarter-billion dollars into a new arena that the city will own ... we need a solution that makes economic sense."

Mandel has been unfailingly chipper even as arena controversy reigned over the last few weeks.

Wednesday morning was no different, and the city's leader flashed a smile before heading into the day's council session.

"Why wouldn't I be upbeat? I don't believe it's stressful," said Mandel, though he admitted he's frustrated with mixed messages from the Oilers' brass. "I'm an eternal optimist, so we'll see."

He says he still stands behind the initial deal that was worked out between the two parties back in October of last year, in spite of recent protests of possible profit loss from The Katz Group.

"The deal we offered to Mr. Katz was very profitable," he said, adding he's done the math and been privy to some confidential financial information. "I know the numbers, and I can tell you that he wasn't going to lose money."

As for what's going to happen later during Wednesday's council meeting, the mayor says discussions will move forward, sans Katz.

The arena update starts at 1:30 p.m. and will include an outline of the status of the current deal and negotiations between Katz and the city over the last few weeks.

Coun. Kim Krushell says that latter update may not be necessary.

"Clearly negotiations aren't going well," she pointed out.

The city councillor says Katz refusing to show up Wednesday "doesn't send a good message" to Edmontonians.

" I have to say with Katz not being here with us, the public patience is at an end." she said.

She's starting to think Plan B — which would see the city build iys own arena — could be the better deal for the city and says public support for the idea is growing.

"I'm hearing a lot more people for the backup plan, which is that we build it ourselves," she said. "The challenge there is then we're looking at the operational side of the situation."

More to come...

angelique.rodrigues@sunmedia.ca

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We ran a brief survey to gauge readers' sentiment on the latest in the downtown arena negotiations. Here's what you said ...

Survey

Who should be held most accountable for the downtown arena debacle?

Daryl Katz 46%

Equal blame for all 34%

City council 15%

Mayor Stephen Mandel 5%

Do you think the deal between Katz and the city will ever happen?

No 53%

Yes 47%

Should the city approach the NHL about letting the Oilers leave Edmonton and getting another NHL team?

No 78%

Yes 22%

In the wake of the latest developments, what's your take on Katz's late-September apology to Edmontonians for taking for "granted your support and your love of the Oilers"?